Vaccine rollout boosts share prices

MANILA, Philippines — The stock market opened the week on a strong note yesterday as investors welcomed the initial rollout of Sinovac vaccines in the Philippines even as the country is the last in Southeast Asia to receive vaccines against COVID-19.

The benchmark Philippine Stock Exchange Composite index (PSEi) gained 78.11 points or 1.15 percent to close at 6,872.97, while the broader All Shares index gained 45.10 points or 1.9 percent to settle at 4,165.40.

All sectors gained traction and closed in positive territory, with the holding firms and property leading yesterday’s gainers.

Total value turnover reached P8.337 billion. Market breadth was positive with 149 advancers and 76 losers, while 48 issues were left unchanged.

Foreign buying reached P2.77 billion, while foreign selling stood at P3.63 billion.

“The PSEi started the week on a positive note, ending higher along with other Asian markets. It drew momentum from its reversal last Friday, continuing higher on less selling pressure,” Chris Mangun of AAA Equities said.

Mangun said traders welcomed the progress on the vaccine rollout and this may have improved the sentiment.

Likewise, an expansion in manufacturing also boosted optimism in the market.

“The Philippine manufacturing sector recorded its second month of expansion in February as manufacturers rebuilt their inventory in anticipation of increased demand. This also confirmed the economy’s recovery to investors. Gains were led by large-cap holding firms SM and Ayala Corp,” Mangun said.

SM was up 1.59 percent to P1,025 per share, while Ayala Corp. shares rose 4.28 percent to P780.

However, trading volumes declined as some investors opted to stay on the sidelines due to prevailing market uncertainty.